FS geologists face barrage of question on Hall Mtn. mine

BONNERS FERRY — A short-notice meeting on July 1 was well-attended by Hall Mountain residents worried about the ramifications of an exploratory drilling project by MMG Limited, an investment holding company based in Hong Kong and headquartered in Melbourne, Australia.

MMG was formed in 2009 after the parent company, China Minmetals Corp. bought out Australian mining corporation OZ Minerals. MMG operates open pit and underground mines for silver, gold, zinc, lead and copper in Australia, Laos and Africa and is engaged in metals exploration in Canada as well as the U.S.

Bonners Ferry Forest Service District Ranger Kevin Knauth arranged the public meeting to coincide with a visit from Coeur d’Alene based geologists Kevin Knesek and Josh Sadler, who were in Bonners Ferry to meet with representatives of MMG.

Knauth invited seven individuals from the Hall Mountain area who had expressed interest in the project, but word of mouth gathered dozens of concerned citizens who attended the meeting.

“This meeting is an open opportunity to inform everyone,” said Knauth, who was surprised by the sudden interest in the project.

Many attendees expressed anger and frustration that the legal notices for the project had been published only in the Coeur d’Alene Press, and that more local input had not been gathered.

“The Forest Service is supposed to be the stewards of the land,” said one Hall Mountain property owner. “The land belongs to the people of the state, but the Forest Service has not spoken for us. We live on Hall Mountain Road. Someone should have come to our door and told us what is going on.”

Sadler, the USFS geologist and mineral administrator in charge of the Hall Mission to Drill project gave a short presentation describing the details of the exploration project.

MMG is focused on mapping zinc and lead deposits in the Prichard formation, the same layer of rock that has provided zinc deposits in Canada and was mined for silver in the Silver Valley around Kellogg.

This is the third drilling project Sadler has facilitated as Mineral Administrator for the Idaho Panhandle National Forests, with by far the most public concern, he said.

Eight locations have been selected for exploratory drilling, but MMG is likely to only select three sites before reevaluating whether further drilling is warranted, Sadler said.

All drilling locations are located on existing open Forest Service roads. Under the USFS decision, only two sites can remain active and un-reclaimed at a time, and only one drill site can be operated.

All holes will be plugged and sites reclaimed to existing conditions. Sadler told attendees that MMG has provided a $64,000 bond for site reclamation in the event reclamation work is not done to National Environmental Policy Act standards.

In order to minimize the possibility of drilling fluids entering the ground water system, the company has agreed to use a closed recirculation system to eliminate the need to excavate on-site sumps.

Under the mining act of 1872, the Forest Service cannot deny mining exploration on federal lands that do not have a wilderness or other conservation designation, said Knauth. They do, however, have the ability to place restrictions on the activities of the operation, such as the sound dampening equipment and light shields designed to decrease disturbance of grizzly bears in order to adhere to Bears Outside Recovery Zone guidelines.

MMG is not required to release the proprietary results of core drilling exploration, but will have to reveal the results in further scoping documentation in order to receive permission from the USFS to go ahead with development of mines, Knesek said. A new round of public comment and environmental impact statements over several years would also be required for the company to proceed.

“We’re not even close to being there,” said Knesek. “The company will have to follow mitigation measures for water and wildlife. This will be very expensive. The best mining practices required would be onerous. More likely than not, there will be no mine.”

Further information, including a map of drilling locations can be found on the Forest Service website at www.fs.usda.gov/wps/portal/fsinternet/projects/ipnf/ by clicking on the Hall Mission to Drill Exploration Project link under the Analysis Completed heading. Anyone with questions or concerns can contact Sadler by e-mail at tjsadler@fs.fed.us or (208) 765-7206. Sadler is also compiling a list of interested parties for any further updates.